Debbie Connors will be present on Tuesday night to provide
the City Council with a first quarter report.As you will recall, the City entered into a contract with the Chamber to
perform certain services.The Chamber
and the City have been working together looking at potential revisions to the
City sign code.Ms. Connors will be
reporting on that activity and requesting that the City Council authorize staff
to develop proposed changes to the sign ordinance.

The City Council previously authorized and
appropriated $1 million toward the $4 million sponsor match shortfall to
complete the Rose Bay Watershed Restoration Project.The St. Johns River Water Management District
(District) has requested the City enter into a memorandum of understanding with
the District, as well as the County
of Volusia and Florida
Inland Navigation District (FIND) to jointly fund the project.

The memorandum of understanding limits the funding
contribution amounts to no greater than $1 million with excess dollars refunded
to the participating agencies equally.Staff is requesting City Council permit the City Manager to amend
language in the memorandum of understanding that does not affect the City’s
financial contribution in order to effectuate the commitment of all parties.
The Volusia County Council and FIND will consider this memorandum of
understanding at their respective December meetings.

In
order to keep the project on schedule, funding requirements must be met on or
before July 9, 2009.

Staff recommends that Council execute a Memorandum of
Understanding (MOU) to jointly fund the unmet sponsor match to the Army Corps
of Engineers Section 206 Ecosystem Restoration Program project in RoseBay
in an amount not to exceed $1 million and authorize the City Manager to modify
language in the MOU which does not affect the City’s financial contribution.

City Manager’s
Comments:This has been included in
the City‘s Operating Budget.VolusiaCounty,
Port Orange,
and the Water Management District are pursuing other options and alternatives
to provide funding for this project as well.It appears that there will be a stimulus package proposed during the
next few months that may provide us with an opportunity to receive additional
funding for the project.

The City of Port Orange’s
Local Housing Assistance Plan includes a strategy to provide substantial
rehabilitation to income eligible owner-occupied homeowners.Mr. and Mrs. Spencer have been determined
income eligible to receive this assistance and the property has been determined
eligible to receive this assistance.

The proposed substantial rehabilitation of this home includes many
handicap accessibility modifications necessary to accommodate Mr. Spencer’s
handicap needs as well as replacement of the roof and other renovations
necessary to bring the home up to current housing code standards.

The City received four bids total, with three qualified bids from
licensed contractors and has selected low bidder, R/J Group, Inc. in the amount
of $35,999.00

As the City is not the property owner, the actual contract for
construction will be executed between the homeowner, Mr. Will Spencer and the
General Contractor, R/J Group, Inc.Although the City is not a party in the contract for construction, the
City will review all contract documents prior to the homeowner’s execution of
said documents to ensure that the City’s detailed scope of work for
rehabilitation of this housing unit is expressed and enforceable.

Staff
recommends that Council approve selection of low bidder, R/J Group, Inc. as
General Contractor for SHIP Substantial Rehabilitation of property located at 121 Wimbledon Court
in the amount of $35,999.00, subject to the City Manager’s and City Attorney’s
approval of the contract between the property owner/applicant and R/J Group,
Inc.

A Design-Build for the replacement of the Causeway Park
Restroom Facility was recently requested.Three firms were short listed and then made oral presentations to the
Selection Committee.The Committee
ranked A. G. Pifer first, CCI second, and AWM third.Opening the price proposal then realigned the
points to determine the final ranking of:CCI, A. G. Pifer, and AWM.CCI’s
price proposal was $153,425 for the base bid with an add alternate of $8,068
for the stainless steel plumbing fixtures for a grand total of $161,493.

Funding for this project is in the 315-5100-572-6397, Project
No. QPC029, in carry-over.

Staff recommends that Council approve the final ranking and
price proposal from Commercial Construction Inc. for their price proposal as
was submitted during the Design-Build for the Causeway Park Restroom in the
amount of $153,425 and alternate number one for an additional $8,068 for the
stainless steel plumbing fixtures, for a grand total of $161,493.

The City’s
utility presently utilizes a 75-acre reclaimed water reservoir.A 100-acre companion reservoir is currently
under construction by Halifax Paving and was targeted to be completed by
December 31, 2008.However, the City
desires to increase the depth of excavation in order to secure additional fill
material for future projects.This change
required a permit modification, which was approved by the SJRWMD and the ACOE,
and the construction permit expires in February 2011.

The increased
excavation will yield 1,000,000 additional cubic yards of fill material. Halifax has agreed to
excavate the additional depth by December 31, 2010.As compensation, Halifax
will receive 750,000 cy while the City takes ownership of 250,000 cy (3:1 ratio
of Halifax:
City).At present, the City has
approximately 190,000 cy in its stockpile, so the 250,000 cy addition will
result in approximately 440,000 cy of fill material for future City projects.

Meanwhile, the
Public Utilities Department and our customer base would benefit significantly
by having beneficial use of the additional 100-acre reservoir.It would increase our reclaimed water storage
capacity dramatically, and further ensure our ability to avoid discharging
treated wastewater into the HalifaxRiver.Toward that end, the change order has been
developed to provide Halifax
with an incentive of $350,000 for early completion of the project by June 30,
2009, 18 months ahead of schedule, with funding available in UET011.The bonus is reduced each month
thereafter.Thus, if Halifax simply completes the project on time
(December 31, 2010), then the incentive pay for early completion is
“zero.”Additionally, should Halifax fail to complete
the excavation by the deadline, the incentive becomes a penalty for each month
past the due date.Finally, the contract
allows for incentives and penalties to be paid fully or partially “in dirt” if
both parties agree.Further, Halifax may store its
dirt on City lands through December 31, 2013 while providing security and
maintaining the integrity of Shunz
Road.

Halifax agreed to continue loading fill on to City trucks at no charge.Additionally, Halifax increased its previous hauling costs
by $1 to $3.30, $4.00, and $4.25 per cy to haul dirt to the west, east and
south sectors of the City.We are
requesting that Council approve the requested Change Order No. 3 to the
existing contract with Halifax Paving.

Staff recommends that Council approve Change Order No. 3, amending the
contract with the firm of Halifax Paving for Bid B05-04 “Sale and Hauling of
Fill Material,” with a change in contract price of $350,000, and providing for
a time extension of 720 days for substantial completion by December 31, 2010,
and authorize the Mayor and City Manager to execute the associated contract
documents.

On
October 27, 2003, Ms. Ortiz tripped and fell on the sidewalk as she was walking
around the CityCenter lake.Ms. Ortiz claims that a lip on the sidewalk
caused the fall.Ms. Ortiz claims to
have incurred approximately $12,000.00 in medical bills attributable to the
incident.It is the City’s position that
there is no liability as the elevation difference, if any, was
insignificant.Further, an independent
medical exam suggests that much of the medical expense is due to either over
treatment, treatment of pre-existing injuries, or both.

At
mediation Plaintiff, Ortiz, offered to settle the case for $7,750.00.The offer was approved contingent on approval
by City Council.A copy of the
settlement agreement is attached.Although it is the City’s position that there is no liability the
defense cost of trying the case before a jury would exceed the settlement cost
regardless of whether the City prevails. Further, there is always a risk of
trying a case before a jury regardless of the strength of your legal
position.

Staff
recommend that Council authorize the settlement of the Maria Ortizvs. City of Port Orange, Case No. 2006-30135 CICIpursuant to the terms set forth in the
settlement agreement.

Staff
is completing work on the Legislative Program for 2009.The attached agreement would be to support
our efforts in Tallahassee.Funds are available in Account #001-1000-580-31-13.

Staff
recommends that Council employ Pittman Law Group, P.L. to track legislation on
the City’s behalf and to work in support of our legislative priorities,
including project funding.The contract
will be in an amount not to exceed $40,000 annually.

City Manager’s Comments:In previous
years, we used Sean Pittman to help us secure funding for our various projects,
especially RoseBay and the B-23 Canal.During this upcoming legislative session,
there are at least two bills that we will be interested in following and
working either to secure adoption or to secure an exemption.The first is the inside/outside water
rates.The second is revisions to the
Police and Fire Pension.We will want to
work with the other municipal interest groups on the Police and Fire Pension to
be sure that what is proposed is a program that does not damage us financially
and still provides the security for those who are working in our Public Safety
Departments.Palm BeachCounty
will be proposing an amendment to the existing State Pension law that will
allow for the transfer of existing assets and service credits to the State
Plan.This could be beneficial to the
City of Port Orange.

At the City’s fiscal year ending September 30, 2008, budget
appropriations lapse.The attached
resolution re-establishes these appropriations for funding the open purchase
orders and projects that were either not completed or started by the fiscal
year end.These carryover appropriations
re-establish proper budget project funding and budgetary alignment of
projects.The operating funds have the
required 15% equity balances after appropriation of this resolution.Staff recommends approval of the attached
resolution.

City Manager’s
Comments:At the end of each fiscal
year, the City is required to appropriate funds for open purchase orders,
capital projects, and other items since all appropriations lapse at the end of
each fiscal year.Many of our projects
are multi-year projects, and the time frame for use of the funds exceeds one
year.The City has the required 15%
equity in reserve as required by our budgetary policy.

The Community Development Department
received a request to release the utilities and access easement for the water main and for access, ingress/egress,
maintenance, and repair for existing public and private utilities that was
reserved over a portion of the Summer
Tree Road right-of-way when it was vacated per
Resolution 07-94. Conditions stated in Resolution 07-94 for the release of the
easement have been satisfied. The Summer
Tree Road extension has been constructed and
accepted by the City of Port Orange.

Final release letters were received
from franchise utility companies for the area to be released when the
right-of-way vacation was approved. City departments have reviewed this request
with respect to City Codes and possible effects to adjacent properties and have
no outstanding concerns. Easements for individual site development will be
required with the approval process for those developments.The easement may be released as described in the attached
legal description, Exhibit “A”, to the extent that it will no longer be
necessary.

Staff recommends that Council approve
the attached resolution releasing the utilities and access easement reserved
over the Summer Tree Road
right-of-way when vacated per Resolution 07-94, as described in the attached
legal description, Exhibit “A”.

The City’s
Fiscal Year 2006-2007 CDBG Action Plan identifies one activity, Riverside Drive
Improvements, in the amount of $233,996.00.This activity was determined ineligible and has been officially
cancelled in reports to HUD but funds have not been reallocated to new
activities.The addition of these
proposed new activities in the CDBG program will allow the City to address the
revitalization needs of neighborhoods and will bring the program into secure
compliance with HUD regulations regarding expenditure timelines and eligibility
of activities undertaken.In addition,
funding for Administration expenses in the amount of $33,499.00 was not fully
expended within the Fiscal Year 2006-2007 and must be re-allocated to projects.

These proposed
amendments reallocate available funding (total $267,495) to activities that
will benefit the citizens and the public facilities of Port Orange.New activities include: Port Orange Adult Activity Center Facility
Improvements in the amount of $132,495; Buschman Park Improvements in the
amount of $100,000; and Demolition of blighted residential and commercial
buildings in the amount of $35,000.

Staff
recommends that Council approve the attached Resolution which will amend the
City’s Fiscal Year 2006-2007 CDBG Action Plan.

The City’s Fiscal
Year 2007-2008 CDBG Action Plan identifies one activity, Real Property
Acquisition, in the amount of $234,242.40.Rising vacant land prices since 2007 and the complexity of implementing
this activity have prohibited action to date.In order to comply with deadlines for encumbering and expending CDBG
funding, the proposed amendments reallocate available funding to activities
that will benefit the citizens and public facilities of Port Orange.In addition to deleting the Real Property Acquisition activity, funding
allocated to FY 2007-2008 Administration expenses in the amount of $58,560.60
was not fully expended within the fiscal year and must be re-allocated to
projects.

The combined
available funding from deletion of the Real Property Acquisition activity in
the amount of $234,242.40 and redirection of Administration funding in the
amount of $58,560.60 (total $301,792.60) is proposed to fund the following
activities: Port Orange Adult Activity Center Facility Improvements in the
amount of $267,803.00; and Demolition of blighted residential and commercial
buildings in the amount of $25,000.00

Staff
recommends that Council approve, by Resolution, amendments to the City’s Fiscal
Year 2007-2008 CDBG Action Plan.

The City seeks funding assistance from
the Volusia ECHO Grant program to construct ball field # 3 and install
playground equipment, picnic facilities, and lighting.The City requests $250,000.00 (50%)from the ECHO program and the City will provide a
50% match of $250,000.00.The City has already applied for a $200,000
grant from the Florida Recreational Development Assistance Program (FRDAP) to
fund the Coraci Phase 2 improvements.The application is still pending.

Staff
recommends that Council approve the attached resolution authorizing the City
Manager to submit a Volusia ECHO Grant application to construct Phase 2
Improvements at the Coraci Athletic Fields.In addition, authorize the Mayor and City Manager to execute any
agreements or contracts and provide a match.

Mr. Thornton and I met a few days ago.Our initial plan calls for them to be on site
the first week in December to discuss the goals and measures that will be used
to determine contract compliance.The
actual work will start in early January.We did not believe that it was appropriate for us to begin the actual
installation process until after the first of the year because of the holiday
schedule.Innoprise believes that it can
successfully install the software within 90 days and have it operational.

The City Attorney’s Office will be working with Innoprise to
develop a contract amendment related to the work.We are hoping to have the contract amendment
before the City Council on January 6.

One of the concepts presented was to have a third party
monitor the progress.Innoprise has used
this concept in other local governments.Although we have not pursued securing a third party vendor to do the
progress monitoring, the City Council indicated in June that they might be
willing to use a third party vendor.The
City would want to be the employing agent of the vendor.Does the City Council desire to have a third
party vendor monitor the installation process to be sure that the benchmarks
are being met as well as the goals and objectives?